The digital yuan could make transactions faster, cheaper and more transparent, but there are dangers for the global economy.
Public banks around the world are working towards the public good during COVID-19. The Canada Infrastructure Bank, however, seems focused on privatizing critical public services instead of ensuring vital infrastructure across the country is built or maintained, like this project to repair the
bridge spanning the Halifax harbour in 2017.
THE CANADIAN PRESS/Andrew Vaughan
Canada doesn’t have many public banks. The best known, the Canada Infrastructure Bank, seems intent on privatizing critical public services instead of working towards the public good.
The coronavirus pandemic may provide another incentive for some countries to move to e-currencies.
(Shutterstock)
There’s no indication that handling cash increases your chance of catching COVID-19. But that hasn’t stopped countries around the world from looking at digital currencies.
Yi Gang will take over the leadership of China’s central bank from Zhou Xiaochuan, who had been in the position since 2002.
International Monetary Fund/Flickr
As the governor of China’s central bank oversees the stability of the world’s second largest economy, this leadership change is one the global economy is watching closely.
All over the world people who have been harmed by the conventional money systems are devising alternative currencies, challenging the centralised monetary policy approach.
There is a different narrative to be had around China’s change to its banks’ required reserve ratios.
Reuters/Bobby Yip
China’s interventions to cheapen its currency relative to others will hurt US imports in the short term, but the country’s surging “mainstream” will easily offset the impact.
Undervalued or overvalued? It depends on your perspective.
Jason Lee/Reuters
The US may not like it, but by devaluing the yuan the People’s Bank of China has done what longtime critics of China’s currency policy have long been clamouring for.
The People’s Bank of China surprised observers by cutting its reserve requirement ratio by 100 basis points to 18.5% on the weekend.
EPA/MARK
Most of the new credit released after China’s central bank cut the required reserve ratio will be used to fund new investment in infrastructure and construction – and that’s good news for Australia.
The cut to China’s reserve requirement ratio (RRR) can also be seen as a move against China’s unregulated shadow banking sector.
Flickr/Mike Behnken
China’s central bank surprised most observers last month when it announced its first interest rate cut in more than two years. The move is intended to bolster growth in the world’s second-largest economy…